Vivendi sale, market rally lifts stock

JonFriedman

NEW YORK (CBS.MW) -- Vivendi Universal shares surged Friday, riding a wave of the broad stock market rally and the company's sale of some assets.

Vivendi said Friday it's raising $436 million in cash (443 million euros) by selling Internet and French publishing companies as a way to reduce its massive debt load.

The beleaguered French entertainment and water giant (012777) saw its U.S.-traded shares rise 27 cents Friday in New York, amounting to a 2 percent jump, to $12.96. It received momentum from the Dow Jones Industrial Average, which posted strong gains early on Friday, before closing with a thud and marking a slight loss.

Vivendi sold its 50 percent stake in Vizzavi, an unprofitable Internet operation, to wireless service provider Vodafone Group
VOD, -0.77%
for 143 million euros.

Reeling under a debt load of 19 billion euros (or approximately $18 billion), Vivendi has been trying to unload properties to ease its burden and impress Wall Street.

The company went on a buying binge under its previous chief executive, Jean-Marie Messier, who acquired Seagram and other media and entertainment companies in a bid to challenge U.S. media conglomerates. He failed and resigned under pressure last month.

Intraday Data provided by SIX Financial Information and subject to terms of use. Historical and current end-of-day data provided by SIX Financial Information. All quotes are in local exchange time. Real-time last sale data for U.S. stock quotes reflect trades reported through Nasdaq only. Intraday data delayed at least 15 minutes or per exchange requirements.